Falkener v. The Queen, 2007 DTC 1470, 2007 TCC 514 (Informal Procedure) -- summary under Income-Producing Purpose

By services, 28 November, 2015

The taxpayer was able to deduct costs of maintaining a dog (who helped protect llamas at his farm from danger) and cats (who were useful for rodent control). Bowie J. also stated (at para. 27):

Nor do I accept the respondent's argument that the veterinary fees associated with the terminal diagnosis of cancer and the resulting euthanasia and cremation of Ryder should be disallowed on the basis that those services could not contribute to producing income. If the animal's primary purpose is connected to producing income, as I have found, then the humane treatment at the end of its life is surely an incident of that.

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